No $ale$ Tax?

No $ale$ Tax?

United States Senator for Maine Olympia Snowe and Washington's Patty Murray have been issuing statements regarding their efforts to suspend sales tax during holiday shopping season. This would be from November twenty-third to December second. This "tax holiday," as they call it, not only would boost the economy, but will also get people "out there" again. Since the terrorist attacks and the rumors flying around about when the next one will be, concerns are on the rise about how this will affect Maine's (and the rest of the country's) economy.

If this proposal were passed, Federal Government would reimburse states in an effort to eliminate budgeting issues. Governor King believes this to be a good idea, but still wants to know more in-depth information. His statements revolve around fears the legislature will not meet soon enough to give merchants enough time to prepare for the suspension. They would have to meet as soon as possible in order for this to fly.

What would granting such a proposal mean for Mainers?

Merchants, particularly in Southern Maine, could only stand to benefit from this suspension. With the economy already beginning to sag, such a boost would ensure stability. Not only that, but competition with New Hampshire, already offering no sales tax, would lessen substantially.

From conversations carried on with various consumers regarding this proposal, a variety of reactions have been ascertained. Those who actually worked in retail environments were oblivious about the whole subject. They thought it was a positive move, but had concerns surrounding the fact their employers hadn't made them aware of the possibility. As for consumers in general, they were curious about why the "tax holiday" wouldn't be lasting longer.

There are several unanswered questions about this proposal that the public is having difficulty obtaining answers for: (these are examples of the questions heard so far)

How was the determination made about the chosen dates?

Did the Federal Government calculate the reimbursement sum or is this an estimation of what will be needed to keep state budgets in line?

How much notice will merchants receive for proper preparation?

Will the results be announced to the public in enough time for them to adjust their personal Christmas budgeting plans?

Discussion Prompt: As the answers to these questions become available, a link will be provided. For those looking for more answers, you may use the discussion area to pose them. Each question will be addressed individually and answered based upon information available in newspapers, on public broadcasting and via the Internet.

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